One of the biggest benefactors of the state’s embattled cancer research agency is folding amid scandal. The Clinical Trials Network of Texas announced today that it is out of money and now out of business. 

CTNeT was founded in 2010 with a $25.2 million grant from the Cancer Prevention and Research Institute of Texas. It conducted clinical trials and had signed research agreements with 20 cancer research institutions across the state. CPRIT began withholding payments last month, after state auditors found some questionable expenses. 

The audit, released yesterday, recommended that CPRIT improve its management of the CTNeT research grant and identified weaknesses in the agency’s decision to award the grant. The audit found that “CPRIT’s relationship with CTNeT and its lack of enforcing contract requirements impair CPRIT’s ability to ensure that CTNeT is properly using grant funds and complying with grant requirements.”  

Questions were also raised over $160,000 in bonuses that were awarded to CTNeT’s chief operating officer.

CPRIT is currently the subject of several criminal and civil investigations over the way it awarded research grants. At the request of state leaders, the agency issued a moratorium on future grants, pending investigation.